Scribd Logo
Upload

Welcome to Scribd!

  • Investing Vs Gambling

    Uploaded by

    Kecoa Tempur
    14 views13 pages
    Investing differs from gambling in its rationale, risk assessment, and expected outcomes. While both involve taking risks, investing is based on understanding a company's fundamentals and growth potential, whereas gambling relies on luck. Though the line can blur when investments are made based on intuition rather than analysis or held for short periods like speculative bets, true investing aims to achieve gains over the long run through understanding risk management and probabilities, not chance.

    Original Description:

    Original Title

    Investing vs Gambling

    Copyright

    © © All Rights Reserved

    Available Formats

    PDF, TXT or read online from Scribd

    Did you find this document useful?

    Is this content inappropriate?

    Report this Document
    Investing differs from gambling in its rationale, risk assessment, and expected outcomes. While both involve taking risks, investing is based on understanding a company's fundamentals and growth potential, whereas gambling relies on luck. Though the line can blur when investments are made based on intuition rather than analysis or held for short periods like speculative bets, true investing aims to achieve gains over the long run through understanding risk management and probabilities, not chance.

    Copyright:

    © All Rights Reserved
    Download as PDF, TXT or read online from Scribd
    Flag for inappropriate content
    Download as pdf or txt
    14 views13 pages

    Investing Vs Gambling

    Uploaded by

    Kecoa Tempur
    Investing differs from gambling in its rationale, risk assessment, and expected outcomes. While both involve taking risks, investing is based on understanding a company's fundamentals and growth potential, whereas gambling relies on luck. Though the line can blur when investments are made based on intuition rather than analysis or held for short periods like speculative bets, true investing aims to achieve gains over the long run through understanding risk management and probabilities, not chance.

    Copyright:

    © All Rights Reserved
    Download as PDF, TXT or read online from Scribd
    Flag for inappropriate content
    Download as pdf or txt
    of 13

    Investing vs

    Gambling
    OUTLINE

    1 2 3
    Introduction The Differences How it ‘Almost’
    Become Gambling
    1 Introduction
    What is Investing?
    ● Doing something today → get return in the future
    ● Money is not the only resource
    ● Financial investments: stocks, bonds, etc.
    What about Gambling?
    ● Risking something → win money
    ● Luck-based: lotteries
    ● Skill-based: card games
    2 The Differences
    Rationale
    Investing
    ● Fundamental story
    ○ Earnings, company actions, potential growth
    ● Understand how the outcome is achieved

    Gambling
    ● Luck > skill
    Risk
    ● Both have risks
    ● Risk management
    ● Investment pyramid
    Expected Outcome
    ● Winner and loser
    ○ Gambling → zero-sum game
    ○ Investing → everyone can win
    ● Probability of gain vs loss
    ○ Gambling → loss in long term
    ○ Investing → gain in long term
    3 How it ‘Almost’
    Become Gambling
    When it almost become gambling
    ● Intuition or superstition
    ○ Lowest priced stock, price = date of birth, etc.
    ● Speculation
    ○ Investing in new startup vs playing poker
    ● Short-term investment
    ○ Crypto/stock trading
    Conclusion

    Investing is not a form of gambling, but


    some people gamble with investments.
    THANK YOU!

    You might also like